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RESOLUTION NO. 2006-26197
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, WAIVING BY 5/7THS VOTE, THE FORMAL
COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO
BE IN THE BEST INTEREST OF THE CITY, AND AUTHORIZING THE CITY
MANAGER, AS THE CITY'S DESIGNEE, TO TAKE ALL NECESSARY
ACTIONS TO PROCURE THE NECESSARY CONSTRUCTION SERVICES
FOR THE RENOVATION OF THE NORMANDY SHORES CLUBHOUSE,
AND THE CONSTRUCTION OF THE NEW GOLF COURSE
MAINTENANCE BUILDING, CART BARN, AND TWO (2) RESTROOM
BUILDINGS (THE PROJECT), AS FOLLOWS: (1) AUTHORIZING THE
CITY MANAGER TO NEGOTIATE ( IN CONJUNCTION WITH THE CITY'S
CAPITAL IMPROVEMENTS OFFICE (CIP)) AND EXECUTE AN
AGREEMENT FOR PRE-CONSTRUCTION SERVICES, IN AN AMOUNT
NOT TO EXCEED $50,000, WITH THE FIRM OF COASTAL
CONSTRUCTION COMPANY AND, UPON SATISFACTORY COMPLETION
OF SAID PRE-CONSTRUCTION SERVICES; (2) AUTHORIZING THE CITY
MANAGER TO NEGOTIATE (IN CONJUNCTION WITH CIP) AND
EXECUTE A GUARANTEED MAXIMUM PRICE (GMP) AGREEMENT WITH
COASTAL CONSTRUCTION COMPANY FOR THE CONSTRUCTION OF
THE AFORESTATED PROJECT; IN THE EVENT THE ADMINISTRATION
IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH
COASTAL CONSTRUCTION COMPANY, AUTHORIZING THE CITY
MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH
THE SECOND RECOMMENDED FIRM OF PIRTLE CONSTRUCTION
COMPANY; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL
IN NEGOTIATING AN AGREEMENT(S) WITH PIRTLE CONSTRUCTION
COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND
EXECUTE AN AGREEMENT(S) WITH THE THIRD RECOMMENDED FIRM
OF THE TOWER GROUP; IN THE EVENT THE ADMINISTRATION IS
UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH THE
TOWER GROUP, AUTHORIZING THE CITY MANAGER TO NEGOTIATE
AND EXECUTE AN AGREEMENT(S) WITH THE FOURTH
RECOMMENDED FIRM OF SUFFOLK CONSTRUCTION COMPANY; IN
THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN
NEGOTIATING AN AGREEMENT(S) WITH SUFFOLK CONSTRUCTION
COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND
EXECUTE AN AGREEMENT(S) WITH THE FIFTH RECOMMENDED FIRM
OF TURNER CONSTRUCTION COMPANY; PROVIDED FURTHER THAT
THE AFORESTATED PRE-CONSTRUCTION SERVICES AGREEMENT
AND GMP AGREEMENT SHALL BE SUBJECT TO RATIFICATION BYTHE
MAYOR AND CITY COMMISSION AT A FUTURE MEETING; IN THE
ALTERNATIVE, PROVIDED FURTHER THAT, IN THE EVENT THE CITY
COMMISSION DOES NOT APPROVE THE AFORESTATED WAIVER,
AUTHORIZING THE ADMINISTRATION TO ISSUE A REQUEST FOR
PROPOSALS (RFP) FOR THE NECESSARY CONSTRUCTION SERVICES
RELATIVE TO THE ABOVE REFERENCED PROJECT.
WHEREAS, on October 8, 1997, pursuant to Request for Qualifications No. 79-96/97
(RFQ), the Mayor and City Commission adopted Resolution No. 97-22575, authorizing the
Mayor and City Clerk to execute an Agreement with the firm of Arthur Hill and Associates, for
professional services for the design, construction, bidding documents, construction observation,
project administration, scheduling, and cost estimating necessary for the renovation and
improvement of three City golf courses: Miami Beach Golf Course, Miami Beach Golf Course
/Par 3, and the Normandy Shores Golf Course (the Agreement) ; and
WHEREAS, it is currently anticipated that the Normandy Shores Golf Course Renovation
Project will commence in the Winter of 2006, and be completed by the Winter of 2007; and
WHEREAS, on December 2, 2005, in an effort to minimize delays, the City's Capital
Improvements Office (CIP) issued Pass International, one of the City's Job Order Contractors
(JOC), a Notice to Proceed relative to design-build services for the renovation of the existing
clubhouse, and demolition and design of a new maintenance building, cart barn, and two(2)
restroom buildings, all at the Normandy Shores Golf Course(the Project and/or the ancillary
facilities); and
WHEREAS, shortly after Pass International commenced the design-build process, the
Administration concluded that the inclusion of certain professional design services within the
JOC contract, particularly architectural and engineering services, would not comply with the
public announcement requirements under Section 287.055, Florida Statutes (the "Consultants'
Competitive Negotiations Act" or "CCNA"); and
WHEREAS, accordingly, on February 17, 2006, the City terminated the services for the
design/build contract with Pass International; and
WHEREAS, in order for the Normandy Shores Golf Course to be operational by Winter,
2007, the Golf Course ancillary facilities (clubhouse, cart barn, maintenance building, and
restrooms) need to be designed, permitted and built to coincide with the completion of the total
Course renovation; and
WHEREAS, in particular, the Golf Course maintenance facility is essential to the proper
maintenance of the Course by the City's Parks and Recreation Department; and
WHEREAS, CIP staff recommends that the most advantageous project delivery method
to accomplish the successful completion of the Golf Course ancillary facilities in an expedited
manner would be to simultaneously retain the services of an architect/engineer (AlE) and a
construction manager at risk (CMR), contractor who would work as a team to provide the City
with the most economical and practical implementation of the project; and
WHEREAS, part of the team's task would be to make recommendations concerning the
availability of construction materials, and the impact they may have on the design and the
building type that can be delivered in today's market, within the time constraints required; and
WHEREAS, were the City to procure the services of an AlE and CMR through the
required procurement process of issuing a Request for Proposals (RFP), (which process would
also require compliance with the "Consultants' Competitive Negotiation Act"), it would take an
estimated minimum of 120 days to award a contract; and
WHEREAS, this would delay the start of design and construction by at least four (4)
months; and
WHEREAS, the Normandy Shores community has consistently demanded that the
renovation of the closed-down Golf Course (and ancillary facilities) be completed as quickly as
possible; and
WHEREAS, these and other residents have complained that the abandoned Golf Course
is attracting vermin, vagrants and vandals, which may not only potentially affect and impact the
security of the neighborhood, but also raise health and safety concerns as well; and
WHEREAS, the damage caused by the 2005 Hurricane Season has also caused further
deterioration of the Golf Course (and ancillary facilities), which requires immediate attention; and
WHEREAS, given the need to make the ancillary facilities available at the time that the
Golf Course Renovation Project is completed, as well as the other aforestated factors, which
continue to represent an adverse and increasingly negative impact on the quality of life, health,
safety and welfare of the surrounding community, the Capital Improvements Office (CIP)
strongly recommends that the Mayor and City Commission hereby waive, by 5/7ths vote the
formal competitive bid process, and authorize the City Manager, as the City's designee, to
procure the services of a CMR relative to the construction of the aforestated Project, finding
such waiver to be in the best interest of the City; and
WHEREAS, notwithstanding the request for the aforestated waiver of formal competitive
bidding, the City Administration will continue to strive to maintain the integrity of the bid process
and, accordingly, has proceeded to conduct its "due diligence" with regard to selection of the
best capable CMR firm; and
WHEREAS, accordingly, on April 10, 2006, CIP met with Miami-Dade County Public
School (MDCPS) staff to inquire about the short-listed CMR firms which had been recently
procured by MDCPS through a competitive selection process; and
WHEREAS, the MDCPS shared with the City, its list of pre-qualified CMR firms, their
bonding capacities, and their latest evaluation scores for the third quarter of 2005; and
WHEREAS, based on the aforementioned documentation and the desire of CIP to attract
quality contractors, the City proceeded to contact eight (8) CMR firms; and
WHEREAS, of the eight (8) firms contacted, three firms (Betancourt Castellon &
Associates; A2 Group; and Veitia-Padron, Inc.) stated that they had previous commitments and
their work load was such that they could not take on additional work; and
WHEREAS, the following remaining firms were interviewed by CIP: Turner Construction;
Suffolk Construction; James R Pirtle Construction; Coastal Construction; and The Tower Group;
and
WHEREAS, prior to the commencement of the interview process, CIP developed an
evaluation criteria and score sheet to be used for said evaluation; and
WHEREAS, this evaluation criteria consisted of a list of key questions based on the Best
Value Procurement process, which the City is currently using to select qualified vendors, as well
as other City procurement criteria; and
WHEREAS, CIP staff asked that the interested CMR's bring their qualifications for
review during the interview process; and
WHEREAS, all CMR candidates were asked the same questions as listed on the
evaluation criteria questionnaire; and
WHEREAS, during the interviews, all interested candidates were given an explanation of
the City's intention to follow, as closely as possible, the recommendations of Best Value
Procurement, and the requirement that all firms were to submit a risk assessment plan and a
quality control plan, as well as letters of recommendation from previous clients; and
WHEREAS, this information was analyzed by CIP in evaluating the CMR firms for the
project; and
WHEREAS, the interview and selection process included the evaluation of each firm's
qualifications; past experience; size of firm; previous performance; public sector experience;
size of projects completed and dollar value; previous contractor evaluation scores from
MDCPS; reference letters; project team's qualifications; project manager's experience and
qualifications; and risk assessment and quality control plans; and
WHEREAS, following the interview process, CIP independently evaluated the submittals
of the CMR firms and completed the evaluation criteria questionnaire, scoring and ranking the
firms; and
WHEREAS, the following are the City's scores and ranking of the firms: 1) Coastal
Construction Company; 2) Pirtle Construction Company; 3) The Tower Group; 4) Suffolk
Construction; 5) Turner Construction Company; and
WHEREAS, Coastal Construction Company's risk assessment and quality control plans
are attached hereto as Exhibit A; and
WHEREAS, considering the scores and ran kings listed above, the City Manager
recommends that the Mayor and City Commission hereby waive, by 5/7ths vote, the formal
competitive bidding requirements, finding such waiver to be in the best interest of the City and
further authorizing the City Manager to negotiate and execute the following: 1) a Pre-
Construction Services Agreement with Coastal Construction Company, in an amount not to
exceed $50,000 and, upon completion of said pre-construction services; 2) authorizing the City
Manager to negotiate and execute a Guaranteed Maximum Price (GMP) Agreement, with
Coastal Construction Company for the construction of the Project; and
WHEREAS, the Pre-Construction and GMP Agreements, respectively, will be
presented for ratification by the Mayor and City Commission at a future meeting.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA that the Mayor and City
Commission hereby waive, by 5/7ths vote, the formal competitive bidding requirements,
finding such waiver to be in the best interest of the City, and authorize the City Manager,
as the City's designee, to take all necessary actions to procure the necessary
construction services for the renovation of the Normandy Shores Clubhouse, and the
construction of the new Golf Course maintenance building, cart barn, and two (2)
restroom buildings, as follows: (1) authorizing the City Manager to negotiate (in
conjunction with the City's Capital Improvement Projects Office (CIP)) and execute an
Agreement for Pre-Construction Services, in an amount not to exceed $50,000, with the
firm of Coastal Construction Company and, upon satisfactory completion of said pre-
construction services; (2) authorizing the City Manager to negotiate (in conjunction with
CIP), and execute a Guaranteed Maximum Price (GMP) Agreement with Coastal
Construction Company for the construction of the aforestated Project; in the event the
Administration is unsuccessful in negotiating an agreement(s) with Coastal Construction
Company, authorizing the City Manager to negotiate and execute an agreement(s) with
the second recommended firm of Pirtle Construction Company; in the event the
Administration is unsuccessful in negotiating an agreement(s) with Pirtle Construction
Company, authorizing the City Manager to negotiate and execute an agreement(s) with
the third recommended firm of The Tower Group; in the event the Administration is
unsuccessful in negotiating an agreement(s) with The Tower Group, authorizing the City
Manager to negotiate and execute an agreement(s) with the fourth recommended firm of
Suffolk Construction Company; and in the event the Administration is unsuccessful in
negotiating an agreement(s) with Suffolk Construction Company, authorizing the City
Manager to negotiate and execute an agreement(s) with the fifth recommended firm of
Turner Construction Company; provided further that the aforestated Pre-Construction
Services Agreement and GMP Agreement shall be subject to ratification by the Mayor
and City Commission at a future meeting; in the alternative, in the event the City
Commission does not approve the aforestated waiver, the Administration is hereby
authorized to issue a Request for Proposals (RFP) for the necessary Construction
services relative to the above reference Project.
PASSED AND ADOPTED this 10th day
David Dermer
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CITY CLERK
Robert Parcher
T:\AGENDA\2006\may1 006\Regular\NSGC-CH-Facilities-Waiver of CMR Resolution-Raul Changes-5-2-
06.doc
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
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~
COMMISSION ITEM SUMMARY
Condensed Title:
A Resolution of the Mayor and City Commission of the City of Miami Beach, Florida, waiving by 5/7ths vote,
the formal competitive bidding requirements, finding such waiver to be in the best interest of the City, and
authorizing the City Manager, as the City's Designee, to take all necessary actions to procure the necessary
demolition, design, and construction services for the renovation of the Normandy Shores Clubhouse, and the
construction of the new Golf Course maintenance building, cart barn, and two(2) restroom buildings, as follows;
authorizing the City Manager to an agreement for pre-construction services, in an amount not to exceed
$50,000, with the firm of Coastal Construction Company; and upon satisfactory completion of said pre-
construction services, authorizing the City Manager to negotiate, and execute a Guaranteed Maximum Price
(GMP for the construction of the aforestated project; provided that the pre-construction services agreement and
GMP agreement shall be subject to ratification by the Mayor and City Commission at a future meeting and in
the event the City Commission does not approve the aforestated waiver, authorizing the Administration to issue
aRe uest for Pro osals RFP for the necessa construction services relative to the above reference ro'ect.
Ke Intended Outcome Su orted:
Ensure well designed quality capital projects.
Issue:
Should the City Commission accept the City Manager's recommendation to waive the competitive bidding
requirements and allow the City Manager to execute a contract in the not to exceed amount of $50,000 for pre-
construction services for the facilities at the Normandy Shores Golf Course facilities to the Construction
ManaQer at Risk firm of Coastal Construction?
Item Summa IRecommendation:
In order for the golf course to be operational for the winter of 2007 the ancillary facilities (clubhouse, cart barn,
maintenance building and restroom buildings) of the golf course need to be designed, permitted and built by
the completion of the golf course project. In particular, the golf course maintenance facility is essential to the
proper maintenance of the tees, greens and fairways, as they are turned over, in phases of completion, by the
golf course contractor to the City's Parks & Recreation Department. CIP staff recommends that the most
advantageous project delivery method to accomplish the successful completion of the golf course facilities in
an expedited manner would be to simultaneously retain the services of an Architect and a Construction
Manager at Risk Contractor, who would work as a team to provide the City with the most economical and
practical implementation of the project. Part of the Team's Task would be to make recommendations
concerning the availability of construction materials, and the impact it may have on the design and the building
type that can be delivered in today's market within the time constraints required. If the City were to procure the
services of an Architect and Construction Manager at Risk(CMR) through the required procurement process of
issuing a Request for Qualifications (RFQ), it would take a minimum of 120 days to award a contract. This
would delay the start of design and construction by at least four months. The Normandy Shores community has
consistently demanded that the renovation of the closed down golf course and facilities be completed as
quickly as possible. The existing facilities have been abandoned for over a year. During this time, the facilities
have deteriorated to such an extent that structural failures are visible. These building failures include missing
and/or caved in roofs, deterioration of structural columns, water damage, and electrical and mechanical system
failures. Further damage of the Normandy Shores Clubhouse, if left unattended may cause such structural
deterioration that the facility may necessitate total demolition. In addition, the damage caused by the 2005
hurricane season has caused further deterioration of the facilities which require immediate attention. Given the
need to make the facilities available at the time that the golf course renovation project is completed, CIP
recommends that the Ma or and Ci Commission waive the com etitive bid rocess for the CMR.
Advisory Board Recommendation:
IN/A
Financial Information:
soure~ Amount Account Approved
Fund: 1 $50,000 Previously Appropriated G.O. Bond
Funds for the Clubhouse Proiect.
OSPI Total $50,000
FinanciallmDact Summary:
in
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MIAMI BEACH
AGENDA ITEM -1?7 B
DATE '5-(O--Or;,
lD MIAMI BEACH
City of Miami Beach, 1700 Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov
TO:
FROM:
DATE:
SUBJECT:
COMMISSION MEMORANDUM
Mayor David Dermer and Members of the City Commission
Jorge M. Gonzalez, City Manager ~ 1/'-"7. .
May 10, 2006. (J {)
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, WAIVING BY 5/7THS VOTE, THE FORMAL
COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE
IN THE BEST INTEREST OF THE CITY, AND AUTHORIZING THE CITY
MANAGER, AS THE CITY'S DESIGNEE, TO TAKE ALL NECESSARY
ACTIONS TO PROCURE THE NECESSARY CONSTRUCTION SERVICES
FOR THE RENOVATION OF THE NORMANDY SHORES CLUBHOUSE,
AND THE CONSTRUCTION OF THE NEW GOLF COURSE MAINTENANCE
BUILDING, CART BARN, AND TWO (2) RESTROOM BUILDINGS (THE
PROJECT), AS FOLLOWS: (1) AUTHORIZING THE CITY MANAGER TO
NEGOTIATE ( IN CONJUNCTION WITH THE CITY'S CAPITAL
IMPROVEMENTS OFFICE (CIP)) AND EXECUTE AN AGREEMENT FOR
PRE-CONSTRUCTION SERVICES, IN AN AMOUNT NOT TO EXCEED
$50,000, WITH THE FIRM OF COASTAL CONSTRUCTION COMPANY AND,
UPON SATISFACTORY COMPLETION OF SAID PRE-CONSTRUCTION
SERVICES; (2) AUTHORIZING THE CITY MANAGER TO NEGOTIATE (IN
CONJUNCTION WITH CIP) AND EXECUTE A GUARANTEED MAXIMUM
PRICE (GMP) AGREEMENT WITH COASTAL CONSTRUCTION COMPANY
FOR THE CONSTRUCTION OF THE AFORESTATED PROJECT; IN THE
EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN
AGREEMENT(S) WITH COASTAL CONSTRUCTION COMPANY,
AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN
AGREEMENT(S) WITH THE SECOND RECOMMENDED FIRM OF PIRTLE
CONSTRUCTION COMPANY; IN THE EVENT THE ADMINISTRATION IS
UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH PIRTLE
CONSTRUCTION COMPANY, AUTHORIZING THE CITY MANAGER TO
NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE THIRD
RECOMMENDED FIRM OF THE TOWER GROUP; IN THE EVENT THE
ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN
AGREEMENT(S) WITH THE TOWER GROUP, AUTHORIZING THE CITY
MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE
FOURTH RECOMMENDED FIRM OF SUFFOLK CONSTRUCTION
COMPANY; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN
NEGOTIATING AN AGREEMENT(S) WITH SUFFOLK CONSTRUCTION
COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND
EXECUTE AN AGREEMENT(S) WITH THE FIFTH RECOMMENDED FIRM
OF TURNER CONSTRUCTION COMPANY; PROVIDED FURTHER THAT
THE AFOREST A TED PRE-CONSTRUCTION SERVICES AGREEMENT AND
GMP AGREEMENT SHALL BE SUBJECT TO RATIFICATION BY THE
MAYOR AND CITY COMMISSION AT A FUTURE MEETING; IN THE
City Commission Memorandum-NSGC-CH Waiver CMR
May 10, 2006
Page 2 of 6
ALTERNATIVE, PROVIDED FURTHER THAT, IN THE EVENT THE CITY
COMMISSION DOES NOT APPROVE THE AFORESTATED WAIVER,
AUTHORIZING THE ADMINISTRATION TO ISSUE A REQUEST FOR
PROPOSALS (RFP) FOR THE NECESSARY CONSTRUCTION SERVICES
RELATIVE TO THE ABOVE REFERENCED PROJECT.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
FUNDING
Funding is available from the previously appropriated GO Bond funds for the Normandy
Shores Clubhouse Project.
ANALYSIS
On October 8, 1997, pursuant to Request For Qualifications No. 79-96/97 (RFQ), the Mayor
and City Commission adopted Resolution No. 97-22575, authorizing the Mayor and City
Clerk to execute an Agreement with the firm of Arthur Hill and Associates, for professional
services for the design, construction, bidding documents, construction observation, project
administration, scheduling, and cost estimating necessary for the renovation and
improvement of three City golf courses: Bayshore Golf Course, Bayshore/Par 3, and the
Normandy Shores Golf Course (the Agreement).
On September 8, 2004, the City adopted Resolution No. 2004-25665 for Amendment NO.2
for additional services necessary for the renovation of the Normandy Shores Golf Course
Project which included services relative to the drainage and irrigation system improvements.
Currently, it is anticipated that the golf course renovation project will commence later this
year, with anticipated duration of at least twelve (12) months.
On December 2, 2005, in an effort to minimize delays, the City's Capital Improvement
Projects Office (CIP) issued Pass International, one of the City's Job Order Contractor's
(JOC), a Notice to Proceed for design-build services for the renovation of the existing
Clubhouse, demolition and design of a new Maintenance Building, Cart Barn, and Two
Restroom buildings on the Normandy Shores Golf Course. Shortly after Pass International
started the design-build process, the administration concluded that retaining design services
under the JOC contract would not comply with state regulatory requirements for a project of
this size. Accordingly, on February 17, 2006, the City terminated the services for the design-
build contract with Pass International.
In order for the golf course to be operational for the winter of 2007 the ancillary facilities
(clubhouse, cart barn, maintenance building and restroom buildings) ofthe golf course need
to be designed, permitted and built to coincide with the renovation. In particular, the golf
course maintenance facility is essential to the proper maintenance of the golf course by the
City's Parks & Recreation Department. CIP staff recommends that the most advantageous
project delivery method to accomplish the successful completion of the golf course facilities
in an expedited manner would be to simultaneously retain the services of an Architect and a
Construction Manager at Risk Contractor, who would work as a team to provide the City with
the most economical and practical implementation of the project. Part of the Team's Task
would be to make recommendations concerning the availability of construction materials,
and the impact it may have on the design and the building type that can be delivered in
today's market within the time constraints required.
City Commission Memorandum-NSGC-CH Waiver CMR
May 10, 2006
Page 3 of 6
If the City would procure the services of an Architect and Construction Manager at Risk
(CMR) through the City's standard procurement process of issuing a Request for
Qualifications (RFQ), it would take a minimum of 120 days to award a contract and, based
on previous experience, could take as long as 180 to 270 days from issuance of the RFQ
through execution of agreement. This would delay the start of design and construction by at
least four months. By waiving the selection and/or competitive bidding requirements, the City
could start negotiating a contract with the Architectural and CMR firms immediately after the
commission meeting making it possible for the City to give the Architectural and CMR firms a
Notice to Proceed within four weeks from the Commission meeting. The facilitation of
negotiating the contracts within four weeks would result in substantial savings to the City in
terms expedited design and construction schedules.
CIP reviewed three project delivery methods best suited for the facilities at the Normandy
Shores Golf Course Project. The following project delivery methods were analyzed for
implementation on this project:
1. Conventional Design-Bid A ward: This method entails the competitive selection of
an Architect, who designs the project and produces a set of construction documents
that are advertised for bid and recommended for award by the City Commission. In
this method the Architect and Contractor are independently under contract with the
City.
2. Design-Build: This method entails the competitive selection of a Design Criteria
Professional who produces a set of performanc~ specifications which consist of a
Design Criteria Package. Once the Design Criteria Package is approved, the
competitive selection process for a Design-Build firm begins. Once the Design-Build
Team is short-listed, a recommendation for award is made to the Commission and
the Design Build Team can commence the construction documents thereafter. In this
method, the Contractor and the Design Criteria Professional are under contract with
the City. The Architect of Record is under contract and works directly for the
Contractor.
3. Construction Manager at Risk (CMR): This method entails the selection of an
Architectural firm and a CMR firm simultaneously through a competitive selection
process based on performance. Under the CMR approach, the owner enters into
agreements with both an AlE and a Contractor early in the process. They are both
independently responsible for the design as well as for the value of the project as it
relates to established budgets. During the design process the Contractor provides
constructability, value engineering, and construction methods advice so that the final
construction documents lead to a more accurate price. The end result is a
Guaranteed Maximum Price (GMP) from the Contractor which is subject to
restrictions in change orders requests and minimizes or eliminates additional costs to
the owner. In this approach, the CIP staff is involved in monitoring both the AlE and
the Contractor throughout the complete project process. This scenario tends to
minimize additional services requests from the AlE since most of the issues which
may arise during construction are addressed during the team design approach.
Additional costs from the contractor, including time extensions, are also minimized
since the GMP method prohibits most project cost adjustments.
CIP staff recommends the CMR option as the most advantageous project delivery method to
successfully complete the ancillary facilities at the Normandy Shores Golf Course by
retaining the services of an Architect and a CMR firm, who would work as a team to provide
the City with the most economical and practical implementation of the project. This would
enable the City to commence with the design / construction documents immediately upon
contract award and the CMR firm would assist the Architectural firm by providing pre-
construction services and value engineering early in the design phases of the project. Thus,
City Commission Memorandum-NSGC-CH Waiver CMR
May 10, 2006
Page 4 of 6
the CMR option enables the City to start the design / construction documents phase
immediately after award and gain the City the time it would take the Design-Builder to
produce the Design Criteria Package.
Another advantage of this option, is that the cost is negotiated upfront, is generally not
increased during construction, and the responsibility for the project in term of time and cost
is mostly on the contractor, with less flexibility than on a Design-Build approach. This leads
to the contractor being more efficient, increased productivity, and few or no change orders.
Under this approach, time is of the essence to the contractor because there will be no
compensation considered for delays.
In addition, the concept of partnering an Architectural firm with a CMR firm early in the
design process thru this team approach, fosters a spirit of cooperation rather then the
adversarial relationships inherent in the relationships arising from the "low bid" mentality.
The teaming of the Architectural Firm and CMR firms lead to coordinated design documents,
a thorough review of existing conditions, and detailed recommendations of building systems
which would save the City, time and money without impacting quality.
The Normandy Shores community has consistently demanded that the renovation of the
closed down golf course and facilities be completed as quickly as possible. The existing
facilities have been abandoned for over a year. During this time, the facilities have
deteriorated to such an extent that structural failures are visible. These building failures
include missing and/or caved in roofs, deterioration of structural columns, water damage,
and electrical and mechanical system failures. Further damage of the Normandy Shores
Clubhouse, if left unattended may cause such structural deterioration that the facility may
necessitate total demolition.
In addition, the damage caused by the 2005 hurricane season has caused further
deterioration of the facilities which require immediate attention.
Given the need to make the facilities available at the time that the golf course renovation
project is completed, CIP recommends that the Mayor and City Commission waive the
competitive bid process for the Construction Manager at Risk Contractor pursuant to Section
2-367(e) of the City Code and Section 255.20(1 )-5, 8,9,10 of the Florida Statutes.
Section 2-367(e) of the City Code:
"The City Commission, upon written recommendation of the City Manager, may by resolution
adopted by a five-sevenths vote of the City Commission waive competitive bidding when the
City Commission finds such waiver to be in the best interest of the City. In the event of such
a waiver the City Commission may authorize the execution of a negotiated contract".
Section 255.20(1 )-5, 8,9,10 of the Florida Statutes: "When the project is undertaken as
repair or maintenance of an existing public facility".
8. "When the local government has competitively awarded a project to a private sector
contractor and the contractor has abandoned the project before completion or the
local government has terminated the contract."
Evaluation Process:
In order to exercise due diligence in the selection of a Construction Manager at Risk
Contractor, CIP Staff has done the following:
1. On April 10, 2006, met with Miami-Dade County Public School (MDCPS) Staff to
inquire about the CM at Risk Firms procured through a competitive selection
process. The MDCPS shared with the City, a list of pre-qualified CMR firms, their
City Commission Memorandum-NSGC-CH Waiver CMR
May 10,2006
Page 5 of 6
bonding capacities, and their latest evaluation scores for the third quarter of 2005.
MDCPS is procuring most of its $1 billion capital construction program using CMR
firms.
2. Based on the aforementioned documentation and the desire of CIP to attract quality
Contractors, the City proceeded to contact eight (8) CMR firms, six of whom were
pre-qualified with MDCPS. Of the eight firms contacted, three firms (Betancourt
Castellon & Associates, A2 Group and Veitia-Padron, Inc) stated that they had
previous commitments and their work load was such that they could not take on
additional work without jeopardizing the quality of their service. The following
remaining firms were interviewed by Senior CIP staff:
. Turner Construction
. Suffolk Construction
. James B. Pirtle Construction
. Coastal Construction Company
. The Tower Group
Prior to the commencement of the interview process, CIP staff developed an evaluation
criteria and score sheet to be used for the evaluation. The evaluation criteria consisted of a
list of key questions based on the Best Value Procurement process, which the City is
currently using to select qualified vendors as well as other City procurement criteria. The
Evaluation Questionnaire and Score Sheet are attached as Exhibit "A" and "B" respectively.
CIP staff asked that the interested CMR's bring their qualifications for review during the
interview process. All CMR candidates were asked the same questions as listed on the
Evaluation Criteria Questionaire. In addition, during the interviews all interested candidates
were given an explanation of the City's intention to follow as closely as possible the
recommendations of Best Value Procurement and the requirement that all firms were to
submit a Risk Assessment Plan and a Quality Control plan as well as letters of
recommendation from previous clients. This information was analyzed by CIP Staff in
evaluating the CMR firms for the project.
The interview and selection process included the evaluation of each firm's qualifications,
past experience,size of firm, previous performance, public sector experience, size of
projects completed and dollar value, previous Contractor evaluation scores from MDCPS,
reference letters, Project Team's qualifications, Project Manager's experience and
qualifications, and their Risk Assessment and Quality Control Plans.
Following the interview process, CIP Staff independently evaluated the submittals of the
CMR firms and completed the Evaluation Criteria Questionnaire, scoring and ranking the
firms. The following are the scores and ranking of the firms:
Coastal Construction Company: Ranked Number 1
Pirtle Construction: Ranked Number 2
The Tower Group: Ranked Number 3
Suffolk Construction: Ranked Number 4
Turner Construction: Ranked Number 5
Please see attached Exhibit "A" for Coastal Construction Company; The Risk Assessment
and Quality Control Plan.
City Commission Memorandum-NSGC-CH Waiver CMR
May 10, 2006
Page 6 of 6
CONCLUSION
Considering the scores and ranking listed above, CIP staff recommends that the Mayor and
City Commission waive the competitive bidding requirements pursuant to City Code and
Florida Statute and award the Construction Manager at Risk contract for pre-construction
services, to Coastal Construction Company, in a form acceptable to the City Attorney, in an
amount not to exceed $50,000 to be negotiated, for said project, and upon completion ofthe
pre-construction services, the Construction Manager at Risk firm and the City will negotiate a
Guaranteed Maximum Price (GMP) for the construction of said project. The GMP
amendment and associated agreements will be presented at a future time for Mayor and City
Commission approval.
Attachment: Exhibits; "A".
T:\AGENDA\2006\may1006\Regular\NSGC-CH-Facilities-Waiver of CMRisk-Memo May 102006 (2).doc
Exhibit A: Risk Assessment & Quality Control Plan- Coastal
E Coastal
April 18, 2006
Jorge Chartrand
Director
Capital Improvement Projects Office
Miami Beach, FL
Dear Jorge:
As a follow up to our meeting yesterday, we are pleased to present a summary of our Risk
Management Program for, your project.
Risk Management and Control is built into each step of our company processes. It is comprised of 6
primary exposures: Contracts, Safety, Insurance & Loss Control, Legal, Quality Control, and Project
Specific items. Our team is dedicated to monitoring and mitigating risk on a daily basis to help
prevent adverse events from having an unfavorable effect on our company's projects.
Thank you for the opportunity to submit this proposal, and we look forward to the possibility of
working with you and your team of professionals. Should you have any questions or we can be of any
service, please do not hesitate to give us a call.
Sincerely,
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305 559 4900 Telephone
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NORMANDY SHORES GOLF COURSE
CLUBHOUSE AND COMMUNITY CENTER FACILITIES
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Coastal prides itself on the fact that we have never been required to have the legal
system determine the final outcome of a project with any of our Customers. Our
proactive approach to issue resolution through Partnering serves continually to
mitigate issues by identifying prompt solutions implemented effectively.
Coastal has on staff an In-house Legal Counsel to participate in a review of all
contract negotiations and any potential legal issues that arise, thereby minimizing the
need for the use of Outside Counsel for the day to day operations of the company.
. Quality Assurance and Quality Control
Coastal believes that the key to a successful project is to "Do Things Right - The
First Time". As a result of this philosophy, Coastal has one of its founding principals
of the company dedicated full-time to Quality Assurance and Quality Control. The
projects Coastal constructs and the Customers for whom the company builds are the
key to our future, and serve as the best references that could be provided.
Our Quality Management assures:
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o Quality that exceeds our Customers expectations
o Maximization of personnel productivity
o Conservation of resources
o Reduction in required corrective measures
o Timely completion of projects
These goals are achieved by utilizing Coastal's Management Team to conduct daily
on-site inspections, pre-qualification of subcontractors and suppliers, proper
evaluation of all subcontractor proposals, accurate submittal review and project
control, and a construction site that is kept clean and organized.
Included is a reprint of an article published in TQM Magazine, authored by Coastal's
President, entitled "Inhibiting Factors of Implementing Total Quality Management on
Construction Sites". A copy of the complete Coastal Quality Assurance Plan is
available for your review upon request.
. Proiect Specific Risks
Coastal conducts a comprehensive review of each project during the preconstruction
period and continually during construction of the areas of potential risks to be dealt
with by the project personnel. Based upon a preliminary review of this project, the
following items should be considered over the next several months:
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o Coordination and communication with the Golf Course Contractor working on
site simultaneously.
o Ensuring proper utilization of existing structural components in new designs.
Existing structural integrity for intended loads.
E Coastal
NORMANDY SHORES GOLF COURSE
CLUBHOUSE AND COMMUNITY CENTER FACILITIES
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o Minimizing design changes that could impact a short duration project.
o Potential restricted work hours in residential neighborhood.
o Security and parking concerns for employees and surrounding properties.
o Efficient and timely procurement process is essential to project success.
o Shop drawing approval process and RFI response time are crucial to on-time
completion.
o Existing and new utility connections and compatibility. Condition of existing
utilities based on installations that may not be completely documented.
o Defining and scheduling priorities to coordinate design and construction
sequences.
o Permitting and inspection process before and during construction to assure
no delays in opening of the golf facilities.
o Public opinion and appearance of the overall management of the City's funds
and site.
o Securing of the site and protection of the work in place during hurricane
season.
o Time frame for selection criteria for building structural design.
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E Coastal
NORMANDY SHORES GOLF COURSE
CLUBHOUSE AND COMMUNITY CENTER FACILITIES
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QUALITY ASSURANCE AND QUALITY CONTROL
Coastal is built on a simple foundation - Commitment to Excellence.
Quality Assurance and Quality Control are not just "buzzwords" within the Coastal
organization; they are one of the cornerstones of our corporate philosophy. The concept
of Total Quality Management (TQM) assures control of quality that has been utilized by
our organization for more than 10 years. Coastal President, Daniel E. Whiteman, Ph.D.,
conducted his doctoral research on the topic: 'The Application of Total Quality
Management in Construction Field Operations."
This research included an exhaustive study of the top builders in the nation and
measured the successes and failures of TQM in their organizations. By identifying these
roadblocks to success and building upon the successes these contractors had achieved,
Dr. Whiteman was able to use the findings of the research by introducing the "Best of
Industry" components of TQM into Coastal's projects.
The research indicated that there are a number of key factors that can improve quality
performance in a construction project, some of which include:
· Total commitment of top management to quality throughout the operations of the
company, at every level.
· Complete focus on the Customers Needs and Expectations, including the
implementation of the Partnering concept on all major projects.
· Continuous training and empowerment of workers in every position of the
construction operation, including preconstruction conferences prior to
commencement of each new activity.
· Development of and repeated utilization of a qualified subcontractor base that
has quality management as the basis of their operations.
· Minimization of paperwork and development of efficient means of tracking
communications and paperwork involving requests for information, submittals,
and other record documents utilized to assure quality conformance.
The TQM approach is one where every Coastal worker takes pride in his or her job and
the overall success of the project is our driving motivation. At Coastal the promotion of
TQM begins with Tom Murphy, Jr., and pervades all levels of management. TQM offers
a number of benefits, including:
· The ultimate in quality
· Effective pre-construction planning
· Maximization of personnel productivity
· Conservation of resources
· Reduction in required corrective measures
· Timely completion of projects
Ii Cc)astal
NORMANDY SHORES GOLF COURSE
CLUBHOUSE AND COMMUNITY CENTER FACILITIES
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COST CONTROL AND VALUE ENGINEERING
Cost Control
Coastal establishes a realistic and credible Estimate at the Concept or Schematic
stages. Estimates, even at this level, are created using a detailed line item approach.
Unnecessary allowances provide a critical method to establish an accurate cost estimate
and also to track the budget through the Design Phase.
During the Design Phase, Coastal will establish a Design Phase Schedule which
includes all milestones for meeting dates, plan submittals, permit applications, additional
estimates, Value Engineering reports, etc.
Tracking the budget through the Schematic, Design Development and Construction
Document phases ensures there will be no surprises to the Owner prior to the start of
construction. Side-by-side estimate comparisons are prepared at every phase and any
significant deltas are highlighted and analyzed.
Coastal's knowledge of construction costs gained through experience and capability to
capture these costs in an internal data base, helps to ensure accurate budgeting at all
phases of the design.
Value Engineering
Successful Value Engineering involves proposing acceptable items early in the Design
Phase to establish the design parameters in the Schematic Phase and to eliminate or
reduce redesign fees.
Coastal's approach to Value Engineering is one of "Evaluating Alternative Methods and
Systems," not reducing scope to achieve the budget. Value Engineering is a continual
process throughout the Design Phase. Formal one., two- and three-day Value
Engineering sessions utilizing the SAVE (Society of American Value Engineers)
guidelines can also be provided. All Value Engineering by Coastal is performed in a
team environment with the approval of the consulting engineers and acceptance by the
Owner.
Recent examples of Value Engineering incorporated into the design documents to
reduce costs or enhance the design include changing the electrical distribution system,
reducing reinforcing steel without compromising the design and adding a waterproof
membrane at a critical slab to avoid water intrusion.
Ii Cc)astal
NORMANDY SHORES GOLF COURSE
CLUBHOUSE AND COMMUNITY CENTER FACILITIES
Scheduling
Scheduling is critical to providing the Owner a successful project. Coastal utilizes Sure
Track scheduling software to monitor the construction process. Items on the critical path
are flagged and long lead items are identified and scheduled accordingly.
Schedules are monitored and updated weekly throughout the construction process.
Other methods of maintaining the project schedule that have been used successfully by
Coastal on similar projects include isolating critical or complicated pieces of work and
preparing a mini-schedule to ensure this work is put in place in a timely manner and
utilizing a team scheduling approach, where Coastal, AlEs, Subcontractors and the
Owner would participate in and establish an agreed upon schedule.
E Coastal